CITU OPPOSES MOVE FOR 100% FDI IN DEFENCE PRODUCTION

Press Release

30th May 2014

CITU OPPOSES MOVE FOR ALLOWING 100% FDI IN DEFENCE PRODUCTION FOR DISINVESTMENT/PRIVATISATION OF PSUs

The Centre of Indian Trade Unions (CITU) strongly opposes Modi government’s move, as reported by the media, for allowing 100% FDI in defence sector. Such move is totally detrimental to the interests of the indigenous defence production network, mainly under government departments and PSUs, and also to national security-management and preparedness. Such move would also directly provoke disinvestment/privatization of the Defence PSUs and Ordinance factories establishment via corporatization route which could so long be successfully resisted by the united trade union movement in the country as well as all the defence sector federations including those having allegiance with the political party in power.

The CITU also expresses its deep concern and strong opposition to the overzealous drive of the government to push through disinvestment of shares in highly profit-making PSUs, mostly in the strategic, infrastructure and natural resources sector of the economy. As reported by the press, the Government has reportedly taken up as their priority agenda for off-loading government’s residual stakes at aluminum major BALCO and also expediting disinvestment in other blue-chip PSUs already shortlisted by the disinvestment department of the previous Government.

CITU urges the Government to take serious note of the unanimous opposition of the working people of the country, who actually creates GDP for the country as well as resources for the national exchequer to such disastrous exercises of disinvestment and privatization and unrestricted FDI. Such opposition has been voiced through numerous agitations by the united platform of the entire trade union movement in the country irrespective of affiliations and political allegiances during last five years.

CITU demands of the Government to restrain itself from such moves which are detrimental to the interests of the people as well as of the national economy; and calls upon the trade unions and working people to unitedly voice their opposition and put up resistance to such disastrous moves.